End of lease buyout.

[pmckechnie]

What do think I should do about extended warranty? Should I look into it?

 

[Mr. Incredible]

What do think I should do about extended warranty? Should I look into it?

based on the ongoing problems I have encountered with the pano roof, there is no way I would buy my lease, but if I did I would look into an extended warranty for stuff like that and the electronics IF I planned to keep the car more than 5 years. Too many things that can go wrong that are too expensive to repair.


For me, between the rear ending accident and the now 2 replacement pano roofs I have had, I won't be buying this car.

 

[PMCErnie]

I leased my ‘19 Santa Fe 2.0 Ultimate ONLY because they were offering better rebates than buying. I was foolish and bought the car when it first debuted so the price was higher.

The plan was to pay off the lease IMMEDIATELY which I did. I did save money versus buying, but dealing with the leasing folks at Hyundai was a nightmare. They didn’t release my title for almost 7 months. It was a massive FUBAR attempting to communicate with them.

 

[PMCErnie]

What do think I should do about extended warranty? Should I look into it?

The key question is how long you are planning to keep the car. My ‘12 Genesis, hopefully, has a long way to go with me, and then on to my Son’s family. The extended warranty that I bought for $1,295 lasts for 60,000 more miles, or till August 2024. I’ve had two claims on it so it’s nearly paid for itself already. One claim was for the rear sunshade motor ($600!).

Get some estimates. You should find one for under $1,600.

 

[pmckechnie]

This thread started a few months ago but I have some questions about lease buyout and the
problems we have gone through.

The lease end was 6/15/2020. In March we decided to go ahead with the buyout.
We were told by a Customer adviser from Genesis Finance that he needed the mileage on the car.
I asked why and he said because it is a used car and we would receive title as used car.
Sent a check for the buyout which Hyundai Finance received on April 9. On May 15 we finally
got the paper work for the title.

Up to now, this is a long story of phone calls to Hyundai Finance and Genesis Finance, that I
won't go into now.
We were told to send the check to the same place in Kentucky we made the lease payments to.
In the end (?) we got paper work from Georgia to take to the DMV in North Carolina to
get it transferred to us.

Now my question. Will the car be considered a used car and me being the second owner?
Will we lose the 10 year 100K mile warranty?

One thing I know for sure is I will never lease another car. I will never buy another car from
the same dealer. I will never use Hyundai Finance or Genesis Finance again.
I do love my G80 and would buy one again but I will pay cash even if it cost more.

 

[TurtleBoy]

^ The 10/100 warranty is still in effect for those that buy the vehicle at lease end or as an early buyout.

 

[pmckechnie]

Thanks, I needed that.

 

[EdP]

Thanks, I needed that.

But yes, since the car was originally titled to the finance company it is used and title will show that. Just as the miles were needed. State law is what determines that, not Genesis.

 

[chrismane]

Isn't it better to finance the car, you own outright and you can make some changes you want. Just be responsible and pay repayments on time. For example, I have got recently a loan. I was looking for the cheapest rate for a 2019 Prius. But leasing, no..I heard bad experience with leasing, and it seemed weird when my friends paid too much, like a loan. But you see, ask your friends or if you are not ok with leasing and finance, save money man.

 

[ReneL]

it will be the residual amount plus state taxes, for a lease taxes are paid on each monthly payment, taxes are not configured on the total price of the vehicle.

when you purchase out the lease and finance the residual amount the finance company with have to include the tax and pay your state dmv those taxes in order to change the title of ownership loss payee to their name from the leasing company name.


I just went through this with my wife's car last month. while every state is slight different in how the taxes are paid and handled, the transfer of ownership from the leasing company to you and your finance company is the same.

FWIW, check around used vehicles with similar mileage and options to yours, find out if they are selling for less than your residual, if they are you can negotiate with the dealer on the residual, I did it with my wife's car, we got financing through our Credit Union for 1.99% for 48 months, the residual on her car was $19,800 but similar vehicles were selling for around $15K-$17K, so we negotiated with the dealer and they were willing to go down to $15,800 if we financed through them for 5.99% for 60 months.

We took the offer, then used the credit union loan to pay off the dealer loan a week later, so they got no interest out of us, and the loan is now with our CU for 4% cheaper and 12 months less, and the payments are near the same $20 a month more with the CU because of shorter term. But total loan with CU is $18,905 with taxes and interest, with Toyota Financial it would have been $21,155.

we saved over $2,000 in interest and another $2,000 off the residual.

Thanks for sharing this. I had not considered the possibility of negotiating in this way for a buyout.

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